If you substitute sports team the value of this is immediately apparent. However there are Netflix shareholders and subscribers who like the content and like the company and want to see the company grow and prosper.
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Netflix Nixes Cheapest $9.99 Plan in U.S., Ad-Free Streaming Now Starts at $15.49 Per Month
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Because Netflix is very likely sunset the plan entirely... even for existing user. Forcing T-Mobile to either weight the cost of adopting the higher end plan (which they won't cause more $$$) or downgrade to the cheaper ad-supported tier. Either way it'll go away. T-Mobile has already been on a spree of removing the tiniest of concessions they were giving customers (e.g. forcing everyone to use debit cards and banning credit cards).
Um, T-Mobile offers more perks than any other carrier — by FAR. Free roaming in 200+ countries alone makes them the absolute leader. I see what you're saying, but I don't understand why they would need to get rid of it. I pay a small upgrade fee for Ultra HD, so I don't quite get why others wouldn't be able to do the same.
More people are going to go back to flying the Jolly Roger 🏴☠️
Do you remember when Netflix was where you could watch all content.. at a fair price, so easy they made you give up your pirathat ?
well now its almost only Netflix produced content - and its expensive, ... and what is this crap " you seems to be loged in from different device " .. i never shared my account, i only have it on apple tv, via apple tv app... ..
last week i asked my wife if we shold just cancle Netfix (and all other content) since we hardly ever use any of them. - at this point im considdering just renting movies again ... then i get to watch something i REALLY want to watch and not what i settle for.
well now its almost only Netflix produced content - and its expensive, ... and what is this crap " you seems to be loged in from different device " .. i never shared my account, i only have it on apple tv, via apple tv app... ..
last week i asked my wife if we shold just cancle Netfix (and all other content) since we hardly ever use any of them. - at this point im considdering just renting movies again ... then i get to watch something i REALLY want to watch and not what i settle for.
Me neither. Probably because I'm not so much into watching movies, but still the content that Netflix currently offers is not even as good as it used to be.
They have become very greedy recently starting off by removing the password sharing feature claiming that it's apparently the reason they've been losing subscribers. And now they're making the subscription plans more expensive, and even charging more additional fees for ad-free content. I expect them to lose even more subscribers after doing this.
LOL, excellent at what? Forcing you to pay exorbitant amounts for channels that you don't want, or in some cases cannot even understand the language? The only thing cable did well was deliver their content and empty my wallet.
Precisely, and "cutting the cord" still accomplishes that quite easily. When we "cut the cord" our cable bill was around $250/mo. Right now I pay $35 for internet, $15 for Hulu, $15 for Max and lets just say $5/mo for Prime, that totals $70/mo, far less than $250!
On what planet? This statement is blatantly false. Where can you get a cable package for $19.99 (highest Netflix tier)? I'll wait.
Right now, in my area:
100mb internet is $25/mo
100mb Interner plus Basic Cable $55/mo making basic cable $30/mo (poor movie selection and ads)
100mb Internet plus Basic & Preferred TV $129/mo making Basic & Preferred TV $104/mo
Have fun. But as an alternative, rotate your streaming packages, binge all the latest content you want to watch, cancel that particular streaming service and subscribe to the next, rinse and repeat.
Someone else posted here how spoiled and entitled people seem to be these days. "Back in the day" one used to go to Blockbuster every single Friday night and rent movies for ~$5, do the math, or better yet I will do it for you:
4 weeks in the average month, average movie 1.5 hours:
Friday 1: Rent 2 movies @$5 each equals $10, for 3 hours
Friday 2: Rent 2 movies @$5 each equals $10, for 3 hours
Friday 3: Rent 2 movies @$5 each equals $10, for 3 hours
Friday 4: Rent 2 movies @$5 each equals $10, for 3 hours
Monthly Totals: 8 movies, approximately 12 hours of content, $40, AND YOU STILL PAID FOR CABLE, is this sinking in yet?
If you properly manage your streaming services "cutting the cord" is still a huge savings.
It's not exorbitant. It's like 30 CAD/month, and sometimes it even comes free for 1-2 years with your ISP...
There's too many streaming platforms today, with Netflix, TV+, Disney, HBO, Crave, CBC, NHL, MLS, etc... just pick 2-3 of these and you're already way past 30 CAD/month.
About having content you don't want... Do you want everything on Netflix? Do you watch everything on Netflix?
And don't start me on the language thing. How many Netflix movies can I watch in other languages than English (i.e. French) ? Everything's in English, even if most their content has been translated in a multitude of languages. Netflix doesn't care much about other cultures. Hell you can't even filter content by languages! It would take like a day to implement in their app. Last time I filed a complaint about this was 6 years ago and they sent me a raw text file filled with typos, which was supposedly a list of content I could watch in French. They're clowns at this point.
I cannot speak for the Canadian market but my guess is that is for basic cable, core channels only, so limited movie access and certainly littered with commercials and ads. It would be far more accurate to compare the streaming ad supported tiers to this which are all under $10 US (Netflix is $6.99), but IMHO still an apples to oranges comparison, one single streaming service was never meant to have all content at once, the whole idea was to be able to pick and choose what you want to pay for. Example: buy cutting the cord I no longer "pay" for news channels or sports channels which I couldn't care less about and never watch. If I pay for cable I am always going to be financing channels/groups/ideologies that I do not want to support. Streaming was supposed to usher in a "ala carte" way to view content, it is not perfect but it is a far cry better than cable.
Again, why would you need them all at once? 2-3 at a time should suffice, if the ad supported tiers are all $7 then you can have 4 or them for less than you claim cable costs in your market. My guess here is that you want them all at the same time, offering you the breadth of content cable offers, but you want it on the cheap, you cannot have it both ways.
No, I do not watch everything on Netflix, or any other provider of content, I look for content I want to watch, I subscribe, watch what I want, then cancel, join another streamer and rinse and repeat.
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Yes I do pick and choose my streaming services so that I don't have all of them at the same time, and I hope everyone does it as well.
But pick 2-3 of all those I mentioned and you're already past 30 CAD. Netflix alone costs close to this.
NO IT DOESN'T!
Please try to debate in good faith. Your $30 CAD cable package probably does not offer any "movie" channels and if it does I am fairly certain that they would not be commercial/ad free, and probably not 4k, so lets just drop the premium Netflix tier comparison.
In this case you should be comparing your $30 CAD cable service to the Netflix ad supported tier which is 6.99 US or 9.24 CAD (at the current exchange), so it would be less than 1/3 of the $30 CAD cable service you reference.
Are you here to debate in good faith or just to push a pro-cable, anti-streaming or Netflix narrative?
I'm not for or against cable or streaming. But I'll be honest about one thing : Yes, I kinda hate Netflix.
Just saying, I ditched cable in 2016 for streaming because of the costs, I used to pay like 20 CAD/month at the time. People back then were proud to ditch cable, and that included me. But streaming services pushed the limits and now it's not worth doing it anymore. If you're not paying attention to your subscriptions, streaming can easily cost more than cable.
I was comparing 4K cable with 4K Netflix, that's why I took the most expensive plan. Unfortunately there's always ads on the cable, but you can always record your stuff and watch it after and skip the ads. That's what I always did in the 2010s.
I prefer renting the movie I want in the entire world library through a service like Apple and pay for a movie I really want to watch, rather than being limited in what Netflix has to offer. It's still less expensive to do that for me because I watch a movie every 2 months.
Update: Every now and then (and because Apple makes it easy) I sign up with a new email address just to see what the rules are. Apparently, when you try to purchase a game subscription through Apple, it’s $13.99. They also sent an email offering me $6.99, but only if I sign up on the web
I can't believe you are ignoring TV series compared to Movies for foreign content. Most serious examples of Asian content based on novels is done as hour long episodes of a TV series. A 2 hour movie is like a sampler to how involved some productions can be. Usually these are 16 or 24 episode based, but I seen it go well over 40 + episodes depending on the novel. Yes in native language, only closed captions for English. Examples from Japan, Korea, Taiwan, Mainland China, Thailand. Considering BC's population you know this content is on Netflix. Perhaps Hollywood has people too brainwashed with movies are the only way to go for North American viewers.
So if Netflix conceded to demands their value would have fallen twice as much? Is that the point? I’m not following, other than the part about the poster not being an economist…
Living in Canada. Where are you seeing cable that is $30 cad a month? On Bell it starts at $56 (after $20 1 year promo). On robbers, it's $125 a month. For basic cable. No movies, nothing.
Netflix in Canada is $5.99 CAD for ads, 16.49 CAD standard, $21 CAD for 4K. Like another person said, the trick is to rotate. Don't need all of them at the same time.
The reasoning for that to occur according to Motley Fool was:
- Netflix beat on earnings for the second quarter, but fell short of Wall Street's expectations for revenue
- The streaming media leader's paid sharing rollout helped drive far better-than-expected subscriber growth.
- Forward revenue guidance for the third quarter marks a slight acceleration in growth, but again missed consensus estimates.
Can you blame traders doing that?
Their drop in share price is due to a number of factors, not all of which are linked to the current writer / actor strike, IMO.
First, a lot of their subscriber growth is coming from outside the US, where pricing is heavily discounted. The implication is that this increase in subscribers will not improve Netflix’s bottom line in any meaningful way.
In the short run, Netflix should see a net increase in free cash flow due to their spending less on content (it being a function of revenue, and there being less content to acquire). Whether this means Netflix ends up releasing less content in the long run, and what it means for their subscriber numbers is still an unknown.
For what it’s worth, I remain of the opinion that this streaming rush was never sustainable to begin with. We are seeing the internet now so to video streaming what they have already done with news and music, make them so widely and readily available to the point that they become devalued and are thus essentially worthless. Writers and actors should be paid more, but I feel it wouldn’t come in the form of simple pay raises or residuals. Rather, I imagine some sort of common cash pool which is then divided amongst all studios based on popularity, similar to how Spotify pays its artistes.
There needs to be a return to quality over quantity, though that is also beyond the scope of this current discussion.
At the end of the day, I continue to remain skeptical about Netflix’s long term profitability and sustainability. All that money and subscriber base, and it’s only recently just broken even? And this is with paying their content creators as little as they do, and without residuals.
I suggest you compare a few major players that have some involvement with streaming
Netflix Inc. (NASDAQ:NFLX) | Analysis of Profitability Ratios
Trend analysis and comparison to benchmarks of Netflix profitability ratios such as operating profit margin ratio, net profit margin ratio, return on equity ratio (ROE), and return on assets ratio (ROA).
www.stock-analysis-on.net
Walt Disney Co. (NYSE:DIS) | Analysis of Profitability Ratios
Trend analysis and comparison to benchmarks of Disney profitability ratios such as operating profit margin ratio, net profit margin ratio, return on equity ratio (ROE), and return on assets ratio (ROA).
www.stock-analysis-on.net
Comcast Corp. (NASDAQ:CMCSA) | Analysis of Profitability Ratios
Trend analysis and comparison to benchmarks of Comcast profitability ratios such as operating profit margin ratio, net profit margin ratio, return on equity ratio (ROE), and return on assets ratio (ROA).
www.stock-analysis-on.net
Please check the charts. Comcast owns Peacock, along with NBCUniversal.
I suggest you compare a few major players that have some involvement with streaming
Netflix Inc. (NASDAQ:NFLX) | Analysis of Profitability Ratios
Trend analysis and comparison to benchmarks of Netflix profitability ratios such as operating profit margin ratio, net profit margin ratio, return on equity ratio (ROE), and return on assets ratio (ROA).www.stock-analysis-on.net
Walt Disney Co. (NYSE:DIS) | Analysis of Profitability Ratios
Trend analysis and comparison to benchmarks of Disney profitability ratios such as operating profit margin ratio, net profit margin ratio, return on equity ratio (ROE), and return on assets ratio (ROA).www.stock-analysis-on.net
Comcast Corp. (NASDAQ:CMCSA) | Analysis of Profitability Ratios
Trend analysis and comparison to benchmarks of Comcast profitability ratios such as operating profit margin ratio, net profit margin ratio, return on equity ratio (ROE), and return on assets ratio (ROA).www.stock-analysis-on.net
Please check the charts. Comcast owns Peacock, along with NBCUniversal.
Does it cover the debt that Netflix has to service?
Interesting to compare this 2022 article on that subject, and to how Netflix did this last quarter. As you can see they have a lot of time before those hurdles must be jumped over. The focus on increased profitability within streaming host businesses has always been challenging. Simply being a large older company doesn't give those examples that much advantage.
Netflix's Mountain of Debt Isn't a Problem...Yet | The Motley Fool
The streaming giant has used debt to build its empire. Thankfully, it will be a few years before the bill comes due.
www.fool.com
So yeah, I was actually a bit confused when you just threw me a bunch of links without any context.Interesting to compare this 2022 article on that subject, and to how Netflix did this last quarter. As you can see they have a lot of time before those hurdles must be jumped over. The focus on increased profitability within streaming host businesses has always been challenging. Simply being a large older company doesn't give those examples that much advantage.
Netflix's Mountain of Debt Isn't a Problem...Yet | The Motley Fool
The streaming giant has used debt to build its empire. Thankfully, it will be a few years before the bill comes due.
For instance, it can be argued that Disney+ doesn't have to be profitable if it is successful in helping to build up Disney's tentpole brands like Marvel and Star Wars, which can in turn funnel more people towards their merchandise and theme parks. Though this now seems to be having the opposite effect, because the deluge of Disney+ content is proving to be unsustainable for the studio, viewers are getting burnt out (precisely because there's too much of a good thing), and I will argue that Disney+ was also way underpriced to begin with.
It's the same thing with Apple's TV+ service, where one can argue it's here to add value to Apple hardware, plus create an ecosystem that future products like the Vision Pro can leverage on. For example, if nobody will create spatial video for users to consume, then Apple can enter that space itself, as it now owns both a music streaming and a live sports streaming service.
Apple has also been fairly conservative in adding new content to TV+, and has famously been resistant to adding a back catalogue of content. Moves which, while heavily criticised early on, appears to have been instrumental towards keeping costs manageable. Not to mention Apple has more than enough cash to keep TV+ going on indefinitely.
Back to Netflix, I feel its risk has always been that its sole source of income is subscriber revenue. If that drops, Netflix has less money to spend on acquiring new content, which may in turn drive more people to stop subscribing if they feel its no longer worth their money, leading to a downward spiral.
In the long run, I won't be surprised to see Netflix resemble more of a traditional cable bundle, with even higher prices and ads. The writing is on the wall. Streaming isn't profitable. It never was, and it never will be. Let's see if consumers stick around then.